Pindar Corporation acquired all the outstanding stock of Strauss Company for $23,000,000 on January 1, 2020. On

Question:

Pindar Corporation acquired all the outstanding stock of Strauss Company for $23,000,000 on
January 1, 2020. On the date of acquisition, Strauss had the following balance sheet:
Strauss Company
Balance Sheet
January 1, 2020

Required:
1. Calculate the amount of goodwill.
2. Prepare the journal entry by Pindar to record the acquisition.
3. Assume that instead of acquiring all the outstanding common stock of Strauss, Pindar acquired 100% of Strauss' net assets. What would Pindar's journal entry be in this case?

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